Mercury General Corporation, together with its subsidiaries, engages in writing personal automobile insurance in the United States.
6 star dividend payer with acceptable track record.
Share Price & News
How has Mercury General's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MCY has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: MCY underperformed the US Insurance industry which returned 10.2% over the past year.
Return vs Market: MCY underperformed the US Market which returned 10.5% over the past year.
Price Volatility Vs. Market
How volatile is Mercury General's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StShould You Be Impressed By Mercury General Corporation's (NYSE:MCY) ROE?
2 months ago | Simply Wall StMercury General Corporation (NYSE:MCY) Looks Like A Good Stock, And It's Going Ex-Dividend Soon
3 months ago | Simply Wall StHow Much is Mercury General Corporation's (NYSE:MCY) CEO Getting Paid?
Is Mercury General undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: MCY ($48.38) is trading above our estimate of fair value ($26.88)
Significantly Below Fair Value: MCY is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: MCY is good value based on its PE Ratio (8.4x) compared to the Insurance industry average (12.5x).
PE vs Market: MCY is good value based on its PE Ratio (8.4x) compared to the US market (17.2x).
Price to Earnings Growth Ratio
PEG Ratio: MCY's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: MCY is overvalued based on its PB Ratio (1.5x) compared to the US Insurance industry average (1.1x).
How is Mercury General forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MCY's earnings are forecast to decline over the next 3 years (-19.5% per year).
Earnings vs Market: MCY's earnings are forecast to decline over the next 3 years (-19.5% per year).
High Growth Earnings: MCY's earnings are forecast to decline over the next 3 years.
Revenue vs Market: MCY's revenue (0.2% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: MCY's revenue (0.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MCY's Return on Equity is forecast to be high in 3 years time
How has Mercury General performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MCY has high quality earnings.
Growing Profit Margin: MCY became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: MCY's earnings have grown by 17.5% per year over the past 5 years.
Accelerating Growth: MCY has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: MCY has become profitable in the last year, making it difficult to compare its past year earnings growth to the Insurance industry (34.8%).
Return on Equity
High ROE: MCY's Return on Equity (17.8%) is considered low.
Return on Assets
Return on Capital Employed
How is Mercury General's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: MCY has a low level of unsold assets or inventory.
Debt Coverage by Assets: MCY's debt is covered by short term assets (assets are 4.1x debt).
Financial Institutions Analysis
Asset Level: MCY's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if MCY has a sufficient allowance for bad loans.
Low Risk Liabilities: MCY reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if MCY has an acceptable proportion of non-loan assets held.
Low Risk Deposits: MCY has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if MCY has an appropriate level of bad loans.
What is Mercury General's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Purchase Mercury General before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: MCY's dividend (5.21%) is higher than the bottom 25% of dividend payers in the US market (1.52%).
High Dividend: MCY's dividend (5.21%) is in the top 25% of dividend payers in the US market (3.9%)
Stability and Growth of Payments
Stable Dividend: MCY's dividends per share have been stable in the past 10 years.
Growing Dividend: MCY's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (43.4%), MCY's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MCY's dividends in 3 years are forecast to be covered by earnings (68.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Gabe Tirador (54yo)
Mr. Gabriel Tirador, also known as Gabe, has been the President of California Automobile Insurance Company and Mercury General Corporation since October 2001 and has been its Chief Executive Officer since ...
CEO Compensation Analysis
Compensation vs Market: Gabe's total compensation ($USD1.53M) is below average for companies of similar size in the US market ($USD4.93M).
Compensation vs Earnings: Gabe's compensation has been consistent with company performance over the past year.
|Senior VP & CFO||18.3yrs||US$753.31k||0.0083% $221.0k|
|VP & Chief Investment Officer||22.1yrs||US$718.82k||0.012% $312.8k|
|Chief Information Officer & VP||0yrs||no data||no data|
|Vice President of Advertising & Public Relations||2.3yrs||no data||no data|
|VP & Chief Marketing Officer||11.1yrs||no data||no data|
|VP & Chief Human Capital Officer||0yrs||no data||no data|
|VP & Chief Claims Officer||4.9yrs||no data||no data|
|VP & Chief Underwriting Officer||2.6yrs||no data||no data|
|VP of Corporate Affairs & Secretary||38.1yrs||no data||no data|
Experienced Management: MCY's management team is seasoned and experienced (12.1 years average tenure).
|Chairman of the Board||59.1yrs||US$1.21m||33.98% $899.3m|
|Independent Director||6yrs||US$54.50k||no data|
|Independent Director||3yrs||US$69.00k||0.0014% $35.7k|
|Lead Independent Director||2.8yrs||US$101.00k||no data|
|Independent Director||1.3yrs||US$12.00k||no data|
|Independent Director||1.3yrs||US$12.00k||0.0019% $49.0k|
Experienced Board: MCY's board of directors are considered experienced (3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Mercury General Corporation's company bio, employee growth, exchange listings and data sources
- Name: Mercury General Corporation
- Ticker: MCY
- Exchange: NYSE
- Founded: 1961
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$2.647b
- Shares outstanding: 55.36m
- Website: https://www.mercuryinsurance.com
Number of Employees
- Mercury General Corporation
- 4484 Wilshire Boulevard
- Los Angeles
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MCY||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Nov 1985|
|MCG||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Nov 1985|
Mercury General Corporation, together with its subsidiaries, engages in writing personal automobile insurance in the United States. It also writes homeowners, commercial automobile, commercial property, mechanical protection, fire, and umbrella insurance. The company’s automobile insurance products cover collision, property damage, bodily injury, comprehensive, personal injury protection, underinsured and uninsured motorist, and other hazards; and homeowners’ insurance products cover dwelling, liability, personal property, fire, and other hazards. It sells its policies through a network of independent agents, 100% owned insurance agents, and direct channels in Arizona, California, Florida, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas, and Virginia. The company was founded in 1961 and is headquartered in Los Angeles, California.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/26 23:40|
|End of Day Share Price||2020/02/26 00:00|